What are the 3 Common Types of Car Insurance?

couple buying a new carWhen shopping for the best vehicle insurance policies, don’t expect full-coverage packages to be a blanket protection for all types of scenarios.

This includes a vehicular accident such as a car collision. The law pertaining to insurance claims in your state will also be a factor. If you live in NYC, a personal injury lawyer will help you streamline the process of filing a lawsuit that should be done within three years.

Basic Types

You shouldn’t take full-coverage policies literally, and instead, treat them as a combination of the three most common types of vehicle insurance. These comprise collision, comprehensive and liability coverage. You can customize your own policy based on your preferred premiums and deductible.

For instance, a $1,000 limit on damages caused by a collision would require your insurer to cover any amount in excess of the limit. In case you injured someone during the accident, liability coverage would come in handy. You could add these to a comprehensive type that also covers non-accident situations like theft or damages caused by a storm.

Check the exceptions for natural disasters since most insurers have them.

Insurance Compliance

Full-coverage car insurance allows you to comply with the laws in your state, meet lender’s requirements and protect your finances. In New York, the state follows a no-fault policy on car accidents in general. This means that you would still need coverage for personal injuries even if you didn’t cause the collision.

There are some exceptions such as when the other party’s negligence was obvious, but it would require a lawyer to navigate through these loopholes and pursue a case against the at-fault driver.


Each car owner will have different preferences when it comes to their full-coverage insurance, but the need for it will always be the same. Other necessary steps like hiring a lawyer for a personal injury case could be done as soon as you encounter legal problems.